Can You Wholesale MLS Properties?Sep 03, 2019
"Can You Wholesale MLS Properties?"
This is a question we see being asked frequently in the real estate investing community. Today, we're getting right to the bottom of it!
Can You Wholesale A Listed Property On The MLS?
Yes, you absolutely can wholesale a listed property on the MLS (Multiple Listing Service).
In fact, from my experience, wholesaling listed property from the MLS is an awesome strategy for any wholesaler.
The reality is that new leads are uploaded to the MLS in your area...EVERY...SINGLE...DAY.
Well, if this rings true, then....
Why Do Some Investors Say "Stay Away From The MLS"?
Most investors have never developed a system around the MLS or have been able to get deals consistently off of the MLS. This is why a lot of people can say “stay away.”
People are afraid of what they don’t understand, and a lot of people don’t understand how to acquire properties to wholesale from the MLS.
See, most "real estate investors" usually try one strategy to get deals for a month, and then another strategy for the next month, and then another strategy for a another month. Leading them to never truly getting results they want. Most “investors” are jacks of all trades and masters of none.
What We Do As Pro Wholesalers:
As Pro Wholesalers, we flip the switch (especially in the beginning) to focus solely on the MLS so you can get your first wholesale real estate deal as soon as possible without spending any money on marketing.
By using the MLS to wholesale real estate, you won't have to buy & put out bandit signs on the side of the road at 2am to then go home and hope for the phone to ring.
By using the MLS to wholesale listed property, you don't have to drive for dollars or lick envelopes to send direct mail.
Pro Wholesaler Case Study:
Pro Wholesaler Student, Tyler, listened to what the majority of "investors" told him the first 18 months he was trying wholesale his first house.
"Successful investors" were telling him to "stay away from the MLS." Like most beginners, Tyler was trying multiple different wholesale strategies to try and find deals. He tried getting lists, direct mail, bandit signs, and others for a total of 18 months without getting a deal.
After trying to get a deal using "traditional" methods for over a YEAR AND A HALF, Tyler finally said "enough is enough" and felt he had nothing to lose.
So, Tyler reached out to me to talk about wholesaling property from the MLS. Tyler was finally ready to give the MLS Offer System his all after "staying away" from it for 18 months only because other people told him to.
So, we got to work.
- Tyler got Assistant Access to the MLS in 2 Days. Check.
- Tyler started submitting offers on listed, distressed properties on the MLS. Check.
Guess what happened within 21 days of solely focusing on trying to wholesale houses on the MLS?
Yep, you guessed it. Tyler wholesaled his first house from the MLS in 3 weeks time.
His only regrets? Listening to others when they said "stay away from the MLS."
In this video video, Tyler talks about flipping his first Wholesale MLS Deal!
How To Wholesale Property On The MLS
Wholesaling MLS properties doesn't have to be complicated. Tyler wholesaled his first house from the MLS in 21 days.
I went ahead and broke down how to wholesale property on the MLS in this free training.
Why Are Some Cash Buyers Against The MLS?
There have only been 2 Reasons I have found why only some cash buyers are against the MLS.
It's either because: 1) they don't want deals sent to them that are not under contract, or 2) they're amateurs themselves!
Let's dig a little deeper into each reason...
Reason 1: Cash buyers don't want deals sent to them that are not under contract.
You may find that some cash buyers can be against the MLS because amateur wholesalers sometimes send deals to cash buyers when they don't actually have a deal under contract.
This is extremely annoying for any cash buyer because they only want to look at wholesale deals that are ACTUALLY under contract. So, when a financing partner says “I don’t like the MLS” be sure to ask "Why?" Get the actual reasons. A lot of the times what they can REALLY be saying is “don't send me deals that are on the MLS when you do not have them under contract."
Reason 2: The Cash Buyer is an amateur.
The reality is that a deal is a deal when it comes to fixing & flipping in real estate.
It doesn't matter where the deal comes from. Whether the deal falls from the sky, craigslist, from door knocking, Aunty Betty, direct mail, a bandit sign, etc., - it's still a deal.
If a cash buyer tells you that they do not want a deal from the MLS, solely, because it is from the MLS, then you have an unsophisticated investor on your hands.
The solution? Find new cash buyers because there are plenty more out there who will buy your wholesale real estate deals - no matter where they come from!
Final Thoughts On Wholesaling MLS Properties
Most people are just regurgitating misinformation from other people on “staying away from the MLS.” I first heard this 8+ years ago when I started investing in real estate.
Lucky for me, I don't take what others say at face value. I actually test it out to see if it's true.
My first year of using the MLS, I was able to generate over $1.2M in profit from wholesale and fix & flip deals.
At this very moment, right now, deals are being wholesaled off of the MLS. If you're not making money from wholesaling MLS properties in your area, then I can guarantee others are.
We typically see that it takes about 15 sent offers to close one wholesale MLS deal, and to make $10,000. Here's an interview with Brandon where he got his first wholesale MLS deal and made $12,000.
Now, 15 sent offers to get one successful wholesale MLS deal is an average when starting out. It may take you more (or less) than 15 offers to get that first wholesale real estate deal and that’s completely fine.
The wholesalers who continue to send offers and don’t quit are the ones who succeed. That's what it takes to become a Pro Wholesaler!